Andhra Pradesh Chief Minister N. Chandrababu Naidu on Wednesday inaugurated the Jonnagiri Gold Mining Project in Kurnool district, describing it as the beginning of a “golden chapter” in the state’s history. He said the project would revive the historical glory of Rayalaseema and proposed that Jonnagiri be renamed as “Swarnagiri” in recognition of its rich gold mining heritage.
The gold mining project, developed by Geo Mysore Services and Deccan Gold Mines, marks a major milestone for Andhra Pradesh’s industrial and mining sectors. During the event, the Chief Minister inaugurated the mining operations, laid the foundation stone for the project’s second expansion phase, and flagged off heavy vehicles carrying gold-bearing ore for processing.
Naidu also visited the project’s training centre, where local women and youth are being trained to operate advanced mining equipment through simulator-based learning systems. He interacted with trainees and reviewed the company’s efforts to create employment opportunities in the region.
The companies have invested around Rs 405 crore in mining, processing, and marketing operations. The project is expected to produce 400 kilograms of gold annually in its initial phase, with production set to increase to 900 kilograms in the next stage and eventually reach 2 tonnes per year.
Inspecting the mining and gold extraction facilities, the Chief Minister reviewed the entire production chain, including the manufacturing of gold bars. Company representatives briefed him on the process from ore extraction to final gold production.
Addressing a public gathering, Naidu said the launch of the country’s largest private-sector gold mining project was a historic development for Andhra Pradesh. He noted that Jonnagiri, historically known as Swarnagiri, had a rich legacy dating back to the period of Emperor Ashoka, with ancient inscriptions in nearby Erragudi serving as evidence of the region’s significance.
He said Rayalaseema has long been known for its mineral wealth and gemstone trade, particularly during the reign of Sri Krishnadevaraya. The gold mining project, he added, would help restore that legacy and create a new identity for the region.
The Chief Minister announced that the village would be adopted and developed as a model village, ensuring that local communities directly benefit from the project. He emphasized that India imports nearly 800 tonnes of gold annually and said increasing domestic production would help reduce import dependency and conserve valuable foreign exchange reserves.
Naidu also revealed plans to establish a Jewellery Park in the region so that gold mined in Andhra Pradesh can be processed and transformed into value-added products locally. He said the project would generate significant employment and become a major economic driver for Kurnool district and Rayalaseema.
Highlighting the state’s industrial growth, the Chief Minister said investors are increasingly choosing Andhra Pradesh because of the government’s stable policies and development-focused governance. He pointed to major investments being attracted in sectors such as aerospace, defence, electronics, automobiles, steel, cement, and clean energy.
He said Kurnool is set to host India’s largest Drone City and that the Orvakal Industrial Node is progressing rapidly. He also reiterated plans to establish a High Court Bench in Kurnool. Referring to other major projects in Rayalaseema, Naidu said the foundation stone for the Rayalaseema Steel Plant in Kadapa would be laid on July 3, while industrial hubs are also being developed in Kopparthy and Tirupati.
The Chief Minister further highlighted irrigation investments worth Rs 12,484 crore made in Rayalaseema over the past two years and said the government has prepared plans worth Rs 40,000 crore under the Purvodaya initiative to transform the region into a horticulture hub.
During the event, Geo Mysore Services and Deccan Gold Mines presented the Andhra Pradesh government with a map of the state crafted from gold produced at Jonnagiri. Naidu announced that the unique memento would be displayed in the proposed museum at Amaravati.
The first batch of gold produced at Jonnagiri Gold Fields was also formally handed over to jewellery companies from Andhra Pradesh. Company officials stated that gold mined in the state would be supplied exclusively to Andhra Pradesh jewellers, ensuring that the economic benefits remain within the state.
Ministers Kollu Ravindra, Nimmala Ramanaidu, T.G. Bharat, senior officials, company representatives, and local residents attended the programme.